No cause for alarm, new tax reform policy’ll bring relief to Nigerians, say Akwa Ibom monarchs

Assured of the benefits that will accrue to Nigerians from the recent tax reform policies initiated by President Bola Tinubu, traditional rulers in Akwa Ibom State have urged the people to remain calm, stating that there is no cause for alarm.

Speaking on behalf of the traditional rulers, the Oku Ibom Ibibio and President General of the Akwa Ibom State Supreme Council of Traditional Rulers, Ntenyin Solomon Etuk, urged the people of Akwa Ibom not to be apprehensive about the new tax regime set to take effect in 2026. He assured them that the policy will provide relief to the poor, low-income earners, and small businesses.

During the meeting with the Akwa Ibom State Internal Revenue Service (AKIRS) on new tax reforms, held at the Chambers of the Akwa Ibom State Council of Chiefs in Uyo, where paramount rulers from all 31 local government areas of the state were in attendance, the monarchs unanimously endorsed and commended the federal government for the New Tax Reforms.

Ntenyin Etuk also lauded Governor Umo Eno for the ongoing awareness campaign on the tax reforms, stating that it has raised the necessary awareness and prepared the public for the upcoming implementation of the new reforms.

“We thank the federal government and the Governor of Akwa Ibom State, Pastor Umo Eno, for the commitment he has shown in this sensitisation effort. I would like to also thank the AKIRS Chairman for such a robust package of information. You have highlighted several aspects of the new reforms that we were previously unaware of.

“There should be no cause for alarm among the public. I strongly believe that the new reforms will bring significant relief to Nigerians. We accept them. My message is that we should all support the government in achieving the positive outcomes outlined in the new tax reforms,” His Eminence said.

Earlier in his opening remarks, the Executive Chairman of AKIRS, Sir Okon Okon, thanked the monarchs for identifying with the new Tax Reforms. He acknowledged the remarkable support and practical directives given to the Revenue Agency by Governor Umo Eno and the lofty achievements of the ARISE Agenda which, he said, have acted as morale booster to tax compliance by the citizenry.

Highlighting the essence of the new tax reforms and the expected outcomes, the AKIRS boss noted that there was no need for anxiety over the tax reforms as it was deliberately designed to simplify the national tax system, check multiple taxation, and curtail the activities of non State actors and nuisance taxes. He noted that the new reforms will bring far-reaching relief to Nigerians, boost economic activities, and drive growth and development across the country.

The AKIRS’ boss listed four new Tax Acts designed to streamline and consolidate tax administration in the country, namely, the Joint Revenue Board (JRB) Establishment Act 2025, which replaces the Joint Tax Board (JTB); the Nigeria Revenue Service (NRS) Establishment Act 2025, that replaces the Federal Inland Revenue Service (FIRS); the Nigeria Tax Administration Act (NTAA) 2025; and the Nigeria Tax Acts (NTA) 2025.

These, he noted, come with great relief for many Nigerians, including low-income-friendly thresholds, personal income tax exemptions for those earning below one million naira annually; promotion of efficient, unified, and tech-driven tax administration; while basic services and commodities such as food, education, health, rents, transport, etc, will attract zero percent VAT.

These measures, Okon posited, will ease pressure on individuals and households, while the introduction of a national Tax Identification Number (TIN) will boost compliance and catalyse economic planning at both national and subnational levels.

Throwing more light on other implications and impact of the new tax regime, Sir Okon, who is also a Fellow and Council Member of the Chartered Institute of Taxation of Nigeria (CITN), further listed other impact to sub-nationals and national governments to include improved IGR; more efficient revenue administration, seamless harmonization and collaboration with state systems and structures, removal of roadblocks for revenue collection and elimination of multiple taxation.

He added that the new regime will boost state’s fiscal position as VAT formula has been revised from 50 percent to 55 percent; strengthen revenue administration and professionalism; eliminate consumption tax, offer improved business environment, and create employment opportunities.

Sir Okon observed that the ongoing engagement with critical stakeholders and diverse members of the public was, amongst other things, to tame anxiety, preview the objectives of the reforms, dispel misconceptions, and help taxpayers see the benefits, as well as seek collaboration with critical stakeholders in disseminating the right message.